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Sounds like a pretty awesome deal as long as everything is in order and still good mileage for these cars. But as you know with audi, parts aren't cheap..but everyone on here can help you out/provide advice on where to go.

I'm sure youll manage in the snow, mines lowered and have been driving it year round for many years...although not ideal. I always go in a parking lot once the snow gets bad and throw the car around a bit to get a feel for it.

Do you think I should get it inspected by BMW to see if there is any serious issues before I purchase it?

nice, I am thinking of lowering mine for sure, dropped my audi and loved the stance and stagger looks on it. No not yet, I still have to get pictures, I'm going to see it this week hopefully. I will definitively snap some pictures and post them.

I've been driving my ci for 10 winters now and never been stuck... winter tires + two bags of water salt or melting salt in the trunk to add weight over the rear axle but most importantly understand the limits of your car... I also drive around in empty snow covered parking lots and very early morning snow covered highway ramps to test braking, accelerating ESP during cornering...

Inspect it. Buy it. Fix it. Drive it. Unless there are unknown problems like sub frame cracking or the SMG dying tomorrow (you don't specify which transmission), $11000 is a fair price if the car is in good condition. Leaves you money to do maintenance and repairs.

I drive on old winter tires and it's fine. Just don't drive like a crazy man or forget you aren't in your Audi. I came from a Stage 3 B5 S4 and these two cars are very different. The M3 is better!

A Solution to that problem is:
Michelin X-ice 3. Find the SMALLEST wheel that will fit the M3 (I think it might be a 17-inch due to the calipers but if 16 fit, use that), the narrowest tires, and chunkiest profile (scraping a wheel in the winter seems more likely), mount on a setup of dent free aluminum rims off Kiji.

Combine with common sense driving in the winter and you'll be fine. The X-ice isn't a deep snow tire but when icy or slushy it's been the best tire I've ever used and I've never been stuck using the X-ice. And with prices now lower than ever in Canada, you can probably get a set at a decent price with a trip south.